Tax advantage of date of redundancy

Hi All
In the case of a person being made redundant in current tax year(end December) is there a tax advantage in pushing the redundancy date to say end January
There are no immediate job prospects in tax year 2010

Thanks

An interesting question which is not asked very often.

I have written a piece on it here

[broken link removed]

Brendan

In terms of taxation on any ex-gratia payment, the relief takes into account FULL completed years of service (i.e. Nov 01 - Nov 09 is 8 completed years while Nov 01 - Oct 09 is only 7). If (and that's a big if) you can push out your redundancy date to complete another full year there would be a tax relief benefit there.